Housing Wire

SEPTEMBER 10, 2020

Knock provides consumers with a mortgage on the new home, an interest-free bridge loan to cover the down payment, coverage of mortgage payments on the old house, and up to $25,000 for home prep and repairs for the old house. Via Home Swap, customers can take ownership of their new home while prepping and repairing the old house to sell.

Backup offer

First Team Real Estate

AUGUST 8, 2021

The only way around re-listing is to accept backup offers, so during the planning phase of your home sale, talk to your listing agent about the pros and cons of backup offers. What does it mean when it says accepting backup offers? What is a backup offer? Backup offers, however, can be tricky.

Backup offer

Housing Wire

JANUARY 12, 2022

These new features will drive greater speed, efficiency and transparency into the loan process, ultimately creating a better experience for our broker partners and their clients. In addition, we meticulously logged client feedback regarding challenges in the loan process. We retain servicing on all our loans.

Backup offer

Hank Miller Team

OCTOBER 1, 2021

Should you consider a backup offer? Are backup offers good options for home buyers and sellers? In highly competitive housing markets with desperate buyers and multiple offers, it might seem pointless to write a backup offer, but why not? What is a Backup Offer?

Backup offer

Realtor.com

JANUARY 12, 2021

You could, for example, insert terms in the purchase agreement that allow you, as the seller, to continue to accept offers and for the buyer to be allowed the option to match or exceed any higher offers. Buyers can also take backup offers (more on these options later). Can home sellers accept backup offers?

Backup offer

Point2Homes

DECEMBER 8, 2020

As the buyer works to meet these contingencies, other potential purchasers can view the property and make offers — but the offers will be put into what is called “backup status.” A backup offer is not uncommon in real estate sales. No Showings. Short Sale. Common Contingencies Found in Real Estate Contracts.

Purchase and sale agreement

HomeLight

JANUARY 13, 2022

In other words, the primary deal on an active contingent listing might (maybe) fall through, causing sellers to place their home back on the market — or accept a backup offer. “I You’ll likely need this type of contingency even if you’ve been preapproved for a mortgage as that process does not guarantee that you’ll get a loan.

Backup offer

Realty Biz

NOVEMBER 11, 2020

If you follow all of the proper steps in selling a home , you will never have to worry about accepting an offer with a home sale clause. This contingency is often required by lenders to make sure the home is worth what the buyer has offered for it. In real estate jargon, this is referred to as a “backup offer.”

Backup offer

Realtor.com

NOVEMBER 28, 2022

It’s also possible that your buyer can’t get the loan approved. If your offer’s wrapped up in the buyers’ ability to successfully offload their own home, there’s also a chance the sale could take months—maybe even years. Other times, the buyer believes there’s too much to deal with and decides not to go forward.

Backup offer

Realty Biz

SEPTEMBER 14, 2021

The seller has agreed to accept a contingent offer from the purchaser. During this time, the seller can still accept backup offers from other interested parties. If the lender won’t fund the loan, the sale falls through. Making an Offer on a House Under Contract.

Backup offer

HomeLight

JULY 6, 2023

In the meantime, with a “Contingent” status, the seller is typically allowed to continue showing the home and accept backup offers in the event something goes awry. Financing contingency Sometimes called a mortgage contingency , this specifies that the deal hinges on the buyer securing their loan. Quite simply, life happens.

MLS

RIS Media

APRIL 8, 2022

Real Estate appraisals are usually completed when homes are bought via mortgage loans. If you put an offer on a property marked contingent, you could be the next buyer should the current contract fall through. You’ll want to make a backup offer to put yourself in the game. Low appraisal. It depends.

Debt-to-income ratio

RIS Media

APRIL 18, 2022

You may see some of these things or all of them before making an offer. It will help tailor your offer when the time comes. It may make sense to put in a backup offer when you’re not the winning bidder. Over the life of the loan, it could translate into thousands of dollars. The terms of the loan.

Pre-approval

HomeLight

NOVEMBER 8, 2024

Most pending listings are off-limits for new offers, as the seller has already committed to a buyer. If you’re particularly interested in a pending property, you can ask your agent to monitor its status or even submit a backup offer. If the loan falls through, they can exit the deal without losing their deposit.

Inspection contingency

HomeLight

JANUARY 5, 2022

Typically, the seller’s agent stops accepting offers once the home is pending sale. However, it’s often a good idea to table backup offers, which may come into play if the sale falls through. Seller’s agents are obligated to present all offers to the seller, even after a contract has been signed,” says Garrett.

Purchase and sale agreement

HomeLight

NOVEMBER 1, 2021

But if the home appraises low (below the purchase price), the buyer will have difficulty securing a loan for the property without bringing extra cash to the sale or renegotiating the price. In a hot market, the seller’s agent may have backup offers and eager buyers waiting in the wings to snatch up the home.

Purchase and sale agreement

Real Trends

JANUARY 25, 2023

“Now, any lender or agent has the ability to supercharge virtually any conventional or jumbo mortgage with a no-interest equity advance loan from Knock to receive the benefits of the Knock Home Swap,” says the statement. However, FHA and VA home loans are not eligible for the program.

Finance

Realty Biz

JUNE 30, 2021

At the same time, these buyers will be forced to make fast decisions that can include everything from a slightly higher interest rate for a larger loan to competing in bidding wars when a desired house comes on the market. But you never know when your backup offer might be the one that goes to the closing table.

Backup offer

HomeLight

DECEMBER 30, 2021

According to the National Association of Realtors® Research Group’s 2021 data , 64% of buyers have conventional loans, 16% have FHA loans and 14% received VA loans. After you accept an offer, the buyer’s mortgage lender typically contacts a third-party appraisal management company (AMC ). And, it pays to be flexible.

Loans

HomeLight

JUNE 9, 2023

average % of contracts with an appraisal contingency: 80% Financing contingency Also known as mortgage contingency , the financing contingency states that the buyer can back out of the deal if they can’t get their loan to go through. However, you can still accept backup offers from prospective buyers.

Home sale contingency

First Team Real Estate

DECEMBER 7, 2020

Having several offers on your home is fantastic, however, how do you guarantee you pick the very best deal and don’t miss out on an even better one? The purchasers will not get this cashback if they back out of the offer unless defined in the agreement. The greater the deposit, the much better. Contingencies?

Purchase and sale agreement

HomeLight

OCTOBER 11, 2021

The homeowner could also have over-extended themselves with home equity loans or lines of credit, or the property might have some kind of financial lien placed against it, all of which can result in the owner being “underwater” on the home’s value vs. what is owed.

Short sale

HomeLight

MARCH 20, 2023

A kick-out clause acts as a sort of compromise in light of an offer with a home sale contingency. They may be able to accept backup offers as well, depending on how the clause is written. For example, he mentions looking into a bridge loan. “It

Home sale contingency

HomeLight

JUNE 29, 2022

As interest rates start increasing, as they are right now in 2022 , sellers may not have as many backup offers to consider as they would when rates were low. Price your house right to attract competitive offers. Make repairs that affect the buyer’s loan requirements. Repairs to a shed or other outbuilding.

Earnest money deposit

HomeLight

DECEMBER 31, 2020

You want to have a “backup offer” in case the regular listing process doesn’t work out. The Federal Housing Finance Agency (FHFA) offers the FHFA HPI Calculator to gauge what a property purchased at a prior time would be worth if it was sold today, taking into account the average rate of appreciation of all homes in the area.

Backup offer

HomeLight

OCTOBER 5, 2020

You might have a $490,000 house and you have a $500,000 cash offer, and then you have like a $550,000 VA loan with 0% down offer. ” Well, the last thing a seller wants in a multiple-offer situation where they got 10 offers and it went crazy, is to have it go back on the market.

Agents

Rochester Real Estate

NOVEMBER 5, 2015

The mortgage contingency gives them a specified amount of time to get a loan for a certain amount of money. What About Backup Offers? However, the purchaser with a backup offer would not be able to move forward without the first buyer’s contract being terminated.

Purchase and sale agreement

HomeLight

MARCH 15, 2021

You might have a $490,000 house and you have a $500,000 cash offer, and then you have like a $550,000 VA loan with 0% down offer. ” Well, the last thing a seller wants in a multiple-offer situation where they got 10 offers and it went crazy, is to have it go back on the market.

Agents

First Team Real Estate

MAY 27, 2021

Of the four luxury real estate sales I closed in April, three of the transactions were backup offers, and another I secured for my client through targeted outreach with an “I have a buyer letter.” The proceeds of that sale allowed me to pay off my entire law school loan right after I graduated!

Agents

Real Trends

MARCH 8, 2023

If your sellers have a backup offer, evaluate all the facts before you switch to accepting that deal. If there is no backup offer, request a 2-week extension so you have time to resolve the issues. Note: Legally, a lender must give the reason a borrower is being denied their loan. Most problems do have a solution!

Debt-to-income ratio